I too have similar situation, not same - similar.<p>I don't "own" the start up, me and the "other" person are senior employees (tech & non-tech)
Other person's wife also works for the start up - unfortunately she is not qualified (IMO) and probably is working to "keep herself busy", so the type of commitment needed isn't there (She doesn't slack, but start up can't afford the employee doing only what is told - for long)<p>Since I am the "tech" person, she "kinda" works to me (no formal reporting) She wasn't "interviewed" - directly hired, without asking me.
Giving her feedback becomes a problems since the "other" person is unable to separate his role as start up employee and husband (I'm not saying it is easy) This has caused me a lot of irritation/frustration.<p>"Firing" her isn't an option for various reasons (Some you may be able to guess based on the above)<p>I'll be also interested in suggestions given here ...